Competition Act: Export Promotion Block Exemption Commences

Posted 12 December 2025 Written by Acts Online
Category Trade

Brought to you by SA Legal Academy: The Minister of Trade, Industry & Competition has issued a notice under the Competition Act, No. 89 of 1998, granting a block exemption for certain coordinating practices aimed at promoting South African exports.

The exemption, which follows a draft released for public comment in August 2025, is effective immediately and will remain in force for a period of five years. It seeks to provide legal certainty for competitors who engage in collaborative activities that would otherwise be restricted under section 4 of the Act, provided such activities are directed toward enhancing the country’s export performance.

The notice defines the specific context and categories of coordinating practices that are permitted. These activities must be designed to achieve the following objectives:

  • The expansion of South African export markets;
  • The improvement of the international competitiveness of domestic firms; and
  • The support of small and medium-sized enterprises (SMEs) and firms owned by historically disadvantaged persons (HDPs) in accessing global trade opportunities.

What this means for you, your business, or your clients

  • For yourself: No direct individual obligations; professional impact is channelled through the requirement to advise clients on the specific boundaries of permitted horizontal coordination under the new notice.
  • For your business: Firms participating in export consortia or joint marketing ventures must ensure their collaborative agreements are strictly aligned with the purposes listed in the gazetted notice to qualify for the five-year exemption.
  • For your clients: Exporters, particularly SMEs and HDP-owned entities, may now engage in joint distribution, marketing, and logistics for international trade without the risk of prosecution for restrictive horizontal practices, provided they meet the regulatory criteria.

Originally published at https://legalacademy.co.za/news/read/competition-act-export-promotion-block-exemption-gazetted-in-force

The views expressed herein are those of the author and do not necessarily reflect those of Acts Online. Acts Online accepts no responsibility for the accuracy, completeness or fairness of the article, nor does the information contained herein constitute advice, legal or otherwise.